Regulatory Alerts2024-02-23
Added · Updated
Guidance on Adoption of Portfolio-based Approach to Suitability Assessment
The Securities and Futures Commission issued this circular on 23 February 2024 to provide guidance on adopting a portfolio-based approach to suitability assessment for registered institutions. The document outlines how institutions may evaluate the suitability of investment products based on a client's overall portfolio rather than individual transactions. It includes specific guidance in Annex 1 and addresses common queries in Annex 2 to facilitate compliance with suitability obligations.
CIR
Current
Issue Date:
23 Feb 2024
20240223-1-EN.pdf (184.6 KB)
Topic:
Wealth Management & MPF - Securities/investment products
Group:
Registered Institutions
Directly related Document
Cross referenced Document
Version History
Superseded Document
Directly related Document
Annex
Current
23 Feb 2024
Annex 1 - Guidance on Adoption of Portfolio-based Approach to Suitability Assessment
Annex
Current
23 Feb 2024
Annex 2 - Frequently Asked Questions on Portfolio-based Approach to Suitability Assessment (“PBA”)
Annex
Current
23 Feb 2024
Annex 3 - Previous guidance superseded
CIR
Current
18 Oct 2018
Investment horizon and suitability assessment
CIR
Current
23 Feb 2017
Guidance on selling of investment products and handling of client securities
CIR
Current
28 Dec 2016
Update of Requirement Following the Circulars Issued by the Securities and Futures Commission (“SFC”) in relation to Suitability Obligations
CIR
Current
12 Jun 2012
Selling of Investment Products to Private Banking Customers
Annex
Current
23 Feb 2024
Annex 1 - Guidance on Adoption of Portfolio-based Approach to Suitability Assessment
Annex
Current
23 Feb 2024
Annex 2 - Frequently Asked Questions on Portfolio-based Approach to Suitability Assessment (“PBA”)
Annex
Current
23 Feb 2024
Annex 3 - Previous guidance superseded
Cross referenced Document
Version History
CIR
Current
18 Oct 2018
Investment horizon and suitability assessment
CIR
Current
23 Feb 2017
Guidance on selling of investment products and handling of client securities
CIR
Current
28 Dec 2016
Update of Requirement Following the Circulars Issued by the Securities and Futures Commission (“SFC”) in relation to Suitability Obligations
CIR
Current
12 Jun 2012
Selling of Investment Products to Private Banking Customers
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